Dynamic coordination with individual learning

B-Tier
Journal: Games and Economic Behavior
Year: 2012
Volume: 74
Issue: 1
Pages: 83-101

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We study coordination in dynamic global games with private learning. Players choose whether and when to invest irreversibly in a project whose success depends on its quality and the timing of investment. Players gradually learn about project quality. We identify conditions on temporal incentives under which, in sufficiently long games, players coordinate on investing whenever doing so is not dominated. Roughly speaking, this outcome occurs whenever playersʼ payoffs are sufficiently tolerant of non-simultaneous coordination. We also identify conditions under which players coordinate on the risk-dominant action. We provide foundations for these results in terms of higher order beliefs.

Technical Details

RePEc Handle
repec:eee:gamebe:v:74:y:2012:i:1:p:83-101
Journal Field
Theory
Author Count
3
Added to Database
2026-01-29